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Level 2

National paid Leave Credit

I believe I have everything set up correctly to apply the NPLEE and I have run 2 payrolls so far. Each time the amount of taxes I owed was way below the credit I am getting. So each time the tax credit was the exact amount of the taxes owed. I will not be submitting any further NPLEE due to shifting over to the PPP loan. My questions is will quick books desktop payroll continue to submit my credits until they are all used up over the next few payrolls? We use QuickBooks Premier 2018 desktop version with Assisted payroll service. QB handles all of my tax payments for me so I do not have the control to add these credits to future payrolls. If this is the case that QB will continue to apply the credits to future payrolls is there any way to track what my credit is currently and how much has been applied so far and how much will be used in the future? Thanks for any help you all can be.

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Best answer May 07, 2020

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Community Champion

National paid Leave Credit

The credits sit as a negative liability in the same account as regular tax liability and, yes, QB will continue to apply until they are used up.

 

Alternately you can file a form for a refund but since QB handles your tax payments you have no way of informing QB that you got the credits refunded

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6 Comments 6
Highlighted
Community Champion

National paid Leave Credit

The credits sit as a negative liability in the same account as regular tax liability and, yes, QB will continue to apply until they are used up.

 

Alternately you can file a form for a refund but since QB handles your tax payments you have no way of informing QB that you got the credits refunded

View solution in original post

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Level 2

National paid Leave Credit

I discovered that if I go to my "payroll center" and there is a link at the bottom to "payroll liability balances" and it shows me the total amount of the accrued National Paid leave credits but i still have yet to find a report that shows me what has been used and what is left to be used. I guess I will trust that the system will work this all out but I would love a report that shows it to me in black and white. Any help finding this report would be great.

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QuickBooks Team

National paid Leave Credit

Hello SGL. 

 

I'd like to take your input and pass it along to our engineers. You raise a good point, that a report showing your total spent vs. whats left of the loan would be very beneficial. You can, however track what you spend on eligible operating expenses by recording expenses, checks and bills. Here's how:

 

  1. On the Home page, select Enter Bills
  2. Select the vendor, then choose the date.
  3. Select the Expense tab.
  4. Choose the right expense account.
  5. Enter the amount for the expense.
  6. Select Save & Close.

- Track how you use your PPP loan

 

Thank you for your input, users like you are what make the product better everyday. If you have any other questions or concerns, feel free to post them down below. 

 

Thanks again, and have a lovely evening.

 

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Level 1

National paid Leave Credit

Has anyone else had to go back to payrolls done before April 21st when they finally sent the National Sick Leave Credit payroll item and have to void their payrolls and then re-enter them with the direct deposit offsets? I had to do this for my company because I was told NO payrolls done by anyone before the NSLC was rolled out had any credits applied. If you didn't do this, then you weren't given any credits against your payroll taxes if you paid anyone under the FFCRA. QB failed miserably in this aspect and they aren't letting any customers know this needs to be done, you're just supposed to figure it out. Also, I called in after spending 4 hours redoing 3 payrolls (they did do this with me,  which was greatly appreciated) to make sure the credits were then given and how much the total was and was told that they couldn't give me that information and if I needed to know how much credit was due, I would have to contact a CPA and have them tell me. This is NOT acceptable, given I pay for the Assisted Payroll. Can anyone give me any advice on how to get this?

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Level 1

National paid Leave Credit

John,

Will a simple journal entry move the credit balance of the NPLC payroll liability to offset the payroll expense?

Or is there an entry in the payroll module to take care of this?

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Level 1

National paid Leave Credit

Just wanted you to be aware that with the PPP program, I believe you CANNOT count wages that are eligible for the credit under the FFCRA National Paid Leave law toward your 75% (now might be reduced to 60%) use of funds toward wages, whether or not you take the credit.  (This is my interpretation of the Rules and Regulations. The fact that the wages are eligible for the credit excludes them from the definition of payroll costs for loan forgiveness purposes.) Please check it out so you don't get nailed on the PPP.  Federal Register/vol 85, No. 73/ Wednesday, April 15, 2020:     "v. Step 5, g. Is there anything that is expressly excluded from the definition of payroll costs?......iv. Qualified sick and family leave wages for which a credit is allowed under sections 7001 and 7003 of the Families First Coronoavirus Response Act (Pub L. 116 - 127)."

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